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HomeMy WebLinkAbout04/23/97 TAPE #1458 CITY COUNCIL MEETING MINUTES APRIL 23, 1997 The regular meeting of the City Council of the City of Bremerton was called to order in the City Council Chambers, 239 4th Street, Bremerton, Washington, Wednesday, April 23, 1997, at 5:30 P.M., with Council President David Farr presiding. Council members present were Bob Winters, Carlos Montgomery, Sherril Huff-Menees, Richard Neville, Lon Overson, John Law, Cecil McConnell, and Al Colvin. Also present were City Attorney Ian Sievers and Deputy City Clerk Paula Johnston. The meeting opened with the Pledge of Allegiance led by Council President Farr and Invocation given by Reverend David Welch of Chico Alliance Church. President Farr made the following announcement: (1) Immediately preceding the Council meeting the City Council held an Executive Session to discuss "Contract Negotiations"; and a Study Session to discuss the Sinclair Landing project. CONSENT AGENDA NONE CLAIMS/CHECK REGISTERS Vouchers audited and certified by the auditing officer as required by RCW 42.24,080, and those expense reimbursement claims certified as required by RCW 42.24,090, have been recorded on a listing that had been made available to the Council. #0035 M/S/C/U(Colvin/Montgomery) on April 23, 1997, the Council does approve for payment those vouchers included and further described as follows: 208124 through 108358 in the amount of $342,727.83; and Regular Payroll for the period endingApril 15, 1997, in the amount of $727,599.44. COUNCIL MEMBER REPORTS Mr. Winters reported he attended the weekend performance of the Peninsula Dance Theater production of Romeo and Juliet, which was held at the Admiral Theater. He congratulated the Dance Studio on an outstanding performance and the Admiral Theater as their host. His sister-in-law, who is visiting from California, commented that the performance was like a San Franciso Ballet. Mr. Overson welcomed his mother, who is visiting from Pensacola, Florida. She has found the weather in Bremerton to be more enjoyable than what she left in Pensacola. TAPES #1458, #1459, #1460 City Council Reg. Mtg. Minutes April 23, 1997 Page 2 of 19 Mr. Colvin was pleased to report that a conference call has been scheduled on April 24, 1:00 P.M., in the Mayor's Office, with General B. O. Davis, who served as General of the 9th Pursuit Squadron. Mr. Colvin related that when General Davis attended West Point he experienced complete silence from his fellow students except in the line of duty. A number of individuals have been invited to share in the conversation with General Davis over some of the matters he included in his book "B.O. DAVIS AMERICAN". MAYOR'S REPORT Mayor Lynn Morton thanked the many volunteers, who participated in the Sinclair Inlet Clean up event on April 19. Mayor Horton read the following proclamations: (1) APRIL 26, 1997, ART DAY in Bremerton. Carol Atkinson, Bremerton Main Street Association and a representative of the Westsound Arts Council accepted the proclamation and invited everyone to attend the Art Walk on April 26. (2) APRIL 26, 1997, Loyalty Day in Bremerton. Ret. Sgt. Major Bob Sauter accepted the proclamation on behalf of all Veterans Of Foreign Wars. Mayor Horton concluded by thanking all of the voters for their participation in the special election held April 22. PUBLIC RECOGNITION Don Larson, President Washington Scuba Alliance and Kitsap Diving Association, reported on the Sinclair Inlet Clean Up event held April 19. He especially appreciated the large turnout of volunteers from the USS Carl Vinson. Me thought awarding the volunteers with a Certificate of appreciation would be appropriate and hoped the City would take on that effort. Larry Dickerson, Bremerton resident, questioned how many City Council members meet at least quarterly with their constituents and in those meeting do they push the Blockwatch Program? Two weeks ago he requested the Mayor and The Sun to develop an education program on the drug and crack houses within the inner city of Bremerton. He patrols 25 square blocks within his Blockwatch area and based on that experience believes the selling and use of drugs is rampant and an epidemic among young people. He wants the City of Bremerton to be known as a city that fights drugs. 7A - APPOINTMENT OF ANNA HOEY-DORSEY TO THE DISABILITY ACTION COMMITTEE, #AB97-080 There is a vacancy on the Disability Action Committee. It is recommended the vacancy be filled by Anna Hoey-Dorsey. TAPES #1458, #1459, #1460 City Council Reg. Mtg. Minutes April 23, 1997 Page 3 of 19 Mayor Horton reviewed Ms. Hoey-Dorsey's background that included 15-years in the Washington Association For Post SecondaryEducators and the Disabled. And, that she has worked with the Disability Action Committee as a volunteer for many months. Ms. Hoey-Dorsey is not a City resident, but since that position has been vacated, it is possible to appoint someone that does not reside in the city. Mayor Horton urged Council to confirm the appointment of Ms. Hoe- Dorsey to the Disability Action Committee. Public comment - none. #0707 M/S/C/U(Montgomery/Huff-Menees) to confirm the appointment of Anna Hoey-Dorsey to the Disability Action Committee. Mrs. Huff-Menees stated the City was fortunate to have an application of this quality for this committee and expressed her appreciation for Ms. Hoey-Dorsey's willingness to serve in this capacity. Mayor Horton pointed out the Committee has been very active in looking at the prioritization of the needs both out in the community and in City facilities. The committee has presented several recommendations that are minor in nature, but make a huge difference to people with disabilities. If a capital requests comes up because of those inspections, the Committee will be asked to prioritize the needs so that the City could either apply for Block Grant funding or include them in the 1998 Budget process. 7B - A.L.I.V.E. DOMESTIC VIOLENCE PROGRAM CONTRACT, #AB97-081 This is a continuation of the professional services agreement with the A.L.I.V.E. Program. This is a pass-through grant from the Department of Community Development. James Kelley, Poulsbo resident, asked if funds were available to counsel the perpetrators as well as shelter for the victims? Lt. Rob Forbes, Bremerton Police Department, stated no. Mr. colvin requested Lt. Forbes explain the function of the A.L.I.V.E. shelter. Lt. Forbes stated from a Police Department prospective, they are a very important entity or advocacy group and they work closely with them. Domestic violence assaults are not decreasing in the Bremerton area and many victims receive assistance through the A.L.I.V.E. Shelter. Linda Kroum, A.L.I.V.E. Program Director, stated they have seen fluctuating numbers of domestic violence reports in Kitsap County, but that is not always because it has decreased, it is a very under reported incident. She noted there are also male victims of domestic violence. Two years ago she came before Council and TAPES #1458, #1459, #1460 City Council Reg. Mtg. Minutes April 23, 1997 Page 4 of 19 stated there were 31 shelters in Washington State, with the A.L.I.V.E. shelter being one. One year ago there were 42 such shelters in Washington state and in 1997 there are 50+ shelters. In answer to services available for males, they do provide information through their Crisis line for male victims and also for the alleged abusers or perpetrators that are seeking treatment through referral information and their legal advocacy components. And, they are looking for ways to increase their support for all peoples involved in these family issues. #0931 M/S/C/U(Montgomery/Colvin) to approve the professional services agreement with the A.L.I.V.E. Program, and authorize the Mayor to sign, subject to City Administrative Policies and Procedures. 7C - WATER FLUORIDATION ISSUE, #AB97-079 City Council has been approached to consider the implementation of water fluoridation in the City of Bremerton water distribution system. Water fluoridation is a public policy decision. Kathleen Cahall, Water Resources Manager, stated the Department of Public Works and Utilities is neutral on whether or not fluoride is added to the drinking supply. Currently, the City does not add fluoride and testing shows that there is less than detectable levels of fluoride, which is less than 0.2 parts per million (ppm). Water fluoridation is a policy decision and if directed to do so, the Department would increase the fluoride to approximately 1 ppm. Only approved additives would be used. One of the most common questions asked is how will the Department assure this process is operated correctly. Proper operation and safe guards will assure that only correct levels of fluoride would be added. All Bremerton Water Operators are certified, experienced and would receive proper training. The fluoride system would be carefully designed and constructed. Currently, the Water System is monitored 24-hours per day and has an alarm system to alert staff to conditions in that system, which would include the fluoridation process, if approved. There would be continuous measuring of fluoride levels. The estimated cost to implement fluoridation would be approximately $90,000 per year for operation/maintenance, chemical costs and capital, which equates to about $1.80 per person per year. She emphasized these estimates are based on a pre-design report. Bremerton water customers can be confident that the water system will be operated in a safe and responsible way. President Farr announced testimony during this hearing will be limited to those individuals who did not give testimony at the April 16 Public Hearing on fluoridation, and testimony will be limited to 3-minutes per person. He noted if a member of the council wished to call someone forward to speak that had given their input at the April 16th hearing, they would be allowed to TAPES #1458, #1459, #1460 City Council Reg. Mtg. Minutes April 23, 1997 Page 5 of 19 speak. Paul Drnjevic, Bremerton resident, challenged the City Council that he had been shorted by 8-minutes during the April 16 Public Hearing on fluoridation and felt he was entitled to that time during this discussion. President Farr pointed out Mr. Drnjevic had given testimony at the prior hearing and requested that he to be seated. The following individuals spoke in support of fluoridation: Larry Eyer, Executive Director KCAP; Bill Clarke, Pharmacist, President of the Bremerton Area Chamber Of Commerce; Karen Flynn, Kitsap County Auditor and Kitsap Cares member; Dave Gitch, President/CEO Harrison Hospital; Dr. Christins H. Larson, Kitsap Children's Clinic, Co-Chair of Department of Pediatrics/Harrison Hospital; Barbara Malich, Executive Director Kitsap community Health Center; Barbara Boyd, 303 Callahan Drive; Dr. Tom Curran D.D.S., Kitsap County Dental Service; Dr. Jeff V. Hayes D.D.S, Bremerton children's dentistry; W. B. Paulin D.D.S., Silverdale; Janet Thurston, 3538 NE Shore Cliff Street; Dr. Willa Fisher, Bremerton- Kitsap County Health District; CherVl Resao, Dental Hygienist; Larry Dickerson, 848 4th Street Apt. A; Russ Hauge, Kitsap County Prosecutor and member of Kitsap Cares Partnership. (Note: Comments from the speakers are recorded on cassette tapes #1458, #1459.) The following comments summarize the testimony given by the above named individuals in support of fluoridation: Members of the Kitsap County medical and dental community speaking in support of fluoridation believe it is the most efficient and economical way to prevent tooth decay. Their opinion is based on many years of medical/dental service provided to residents, particularly in the Bremerton area, where they observed greater tooth decay in children than those coming from areas were water fluoridation was available. Even though some children were given individual fluoride treatment, which can be difficult to administer on a daily basis by parents, and used fluoride tooth paste, it did not guarantee that they would not be susceptible to tooth decay. Scientific studies have been conducted over the past 50 years that confirm that fluoridation in water increases the chances for healthier teeth and does not adversely affect the body, i.e., brittle bones, causes cancer, or is harmful to other organs etc. Member of the Kitsap Cares Partnership lent their support to fluoridation believing it will benefit people Of all income levels and particularly have a positive impact on those families in the lower income level. Many children seen by local pediatricians and or required emergency services at Harrison Hospital have required emergency dental surgery due to the poor condition of their teeth. Local dentists have volunteered their services within the community as well as TAPES #1458, #1459, #1460 City Council Reg. Mtg. Minutes April 23, 1997 Page 6 of 19 staffed the Emergency Room Watch to assist in emergency treatment cases. Those opposing fluoridation have raised the issue of fluorosis occurring in teeth. A children's dentist pointed out fluorosis is a discoloring of the tooth enamel; however, such teeth are more resistant to tooth decay than those with regular enamel. Several speakers emphasized it is within the City Council's purview to vote to implement fluoridation without taking it to the vote of the people and they should exercise that right. Also, that approving fluoridation would be a great gift to fellowman to prevent disease. Concern was registered as to the way people were approached by those opposing fluoridation and seeking signatures on petitions. The following individuals spoke in opposition to fluoridation: Roy Hocker, 3311 Rodgers Street; Harry Tangen, 315 Shore Drive; Gene Mosbarger 100 #A Galyan; James Cochran, 1424 Lindberg Place; Janice Jones, 1440 17th Street; Kathy Kelly, Warren Avenue, StePhen Martz, 1721 Kitsap Lake Road; Cindv L. Angel, 360 Tremont Street, Port Orchard; Palmet O'Hanson, 2504 E. 22nd Street; Robert Zauper, 120 North Callow Avenue; Nancy Ann McKelvy, 1018 9th Street; HoDkinS, 916 Washington Avenue; Teresa Findlay, 1309 Elizabeth; James Hopkins, 916 Washington Avenue; Dan Zimpson; Geegee Holt; Ed Rollman, Highland Avenue. (Note: Comments from the speakers are recorded on cassette tapes #1458, #1459.) The following comments summarize the testimony given by the above named individuals speaking in opposition to fluoridation: It is a common belief that proper dental hygiene reduces cavities and that dental care should be left up to the individual and not be at the expense of the taxpayers. Fluoridated water can cause the immune system to become damaged. There is no scientific data to support the claim that fluoridation reduces tooth decay. The decision to implement fluoridation should be left up to the vote of the people. Fluoridated water can heighten the risk of more cancer in those who have already been treated for cancer. Tooth decay is caused by poor diet and lack of proper dental hygiene. The decision to implement fluoridation is tied into welfare issues. It was suggested a choice program for fluoridation could be set up in the schools. Many people are severely sensitive to fluoride and chlorine in water and would be forced to buy bottled water. The question was raised "who will pay for bottled water if a person cannot drink the fluoridated water? Fluoride is a toxic waste chemical. Fluoridation is a political issue and if implemented it will cost Council members votes. A concern was raised about not wanting to water lawns and gardens with fluoridated water. Many studies were cited that support the position that fluoridation is harmful rather than beneficial. (Note: A number of speakers handed TAPES #1458, #1459, #1460 City Council Reg. Mtg. Minutes April 23, 1997 Page 7 of 19 in signed petitions opposing fluoridation, which will be on record in the City Clerk's Office.) Mrs. Huff-Menees thanked everyone who spoke at the two hearings and/or provided data both for and against fluoridation. She agreed with Karen Flynn, Kitsap county Auditor, that this was not an issue that lent itself to referendum, but rather a policy issue that has to do with a City utility and service provided to the citizens of Bremerton. Council members were elected as the Legislative body for the City and as a policy issue she believes Council needs to make this decision for the citizens. She too has some concerns about how the petitions were gathered after personally hearing how people were approached to sign those petitions. She viewed those actions as "scare" tactics and was offended by the way the petition presenters presented the issue. Her work history included working in a pediatric dental practice where she observed how a lot of well intended people did not understand the importance of dental health for their children. During that time, she saw many babies with "baby bottle" decay and many children of older ages that had tremendous decay, none of whom had benefit of fluoride. She supports fluoridation and was very up front with individuals that called her, who were opposed to fluoridation. She understood that making a decision could have political implications, but the public elected the Council to do the right thing. (TAPE #1459) #1731 M/S/C(Huff-Menees/Montgomery) the City Council administered a public hearing on water fluoridation on April 16, 1997. Council action is requested on April 23, 1997 to direct the Mayor to implement fluoridation as soon as practicable. Mr. Overson stated Initially, he was a strong opponent to fluoridation, which prompted him to research why the medical/dental professionals consistently campaigned for fluoridation. He emphasized we give our lives to doctors and dentists seeking their help to prolong our lives. This nation enjoys some of the longest and healthy living of any nation in the world because of the health professionals and the fantastic job they do. Based on his research, he will support the motion as presented. Mr. Winters stated his opposition to fluoridation and because he is not re-running for his elected position, he was not concerned about any political implications as a result of a vote on this issue. He was concerned about people's rights and the data that he has been provided whether it is true or not true, factual or emotional. He found it difficult to acknowledge all of the information and testimony given over a four week period and come up with a solution and then vote. The political correct thing to do, in his opinion, would have it be a vote of the public, but Council members are TAPES #1458, #1459, #1460 City Council Reg. Mtg. Minutes April 23, 1997 Page 8 of 19 voted in to make decisions. He challenged the appropriateness of the Council hearing further testimony from Dr. Willa Fisher on fluoridation at their Retreat on April 19, without giving the opposition equal time to share their views. He pointed out there are issues in the courts in Pierce County and City of Tacoma that create cities to become members of lawsuits and cost the taxpayers even more money. It concerned him that Mr. Drnjevic was gaveled down from speaking at this hearing and felt he should have had the opportunity to speak on this issue considering Council's actions on April 19. He brought with him a video that reveals how children under six years of age should not use fluoride without the supervision of parents. He pointed out the "poison" makings on the back of the packaged bottle of fluoride. He believes the greatest asset and resource of the City is its purest, freshest form of water. He asked Ms. Cahall to explain the City's rating compared to other cities within the state without the use of filtration. Kathleen Cahall, Water Resources Manager, stated the City of Bremerton is one of the few surface water systems in the country that does not have to filter its water. The water is disinfected through the use of chorine, which is very efficient and most cost effective method of disinfection. In addition to the surface water, the city has wells that supply approximately 40% of the water supply. Bremerton's water is very soft, but is corrosive and the City will be adding additives to the water in about one year to make it less corrosive, which is required by State and Federal regulations. Mr. Winters questioned how the City's water rated with other areas? Ms. Cahall explained there is no rating system for water systems. The City holds a (green) Permit, which means the City does not have any violations. She acknowledged Bremerton has a good rapport with the regulating State agencies and the Bremerton Kitsap County Department of Health. Mr. Winters emphasized the fact he is very proud of the quality of Bremerton's water. He acknowledged the number of people speaking before Council have been nearly equal for those in support and those in opposition, which substantiates for him the best method would be to place the issue before the vote of the people. He wanted to know Mayor Horton's position on this issue; however, she was not present to respond. Mr. Colvin called for a point of order emphasizing this issue was an issue for the Council, not the Mayor. Mr. Winters asked Pete Crane to come to the podium and asked him if he represented, as a broker, any company that sells items that are marketed for the use in water systems in and across the United States? Pete Crane, Financial Consultant with Smith Barney and President of United Way of Kitsap County and member of Kitsap Cares Partnership, explained he does not represent any chemical companies and only represents himself and invests clients assets in companies of all types. If someone owns mutual funds or is in the Thrift Statement Plan for the U.S. Government, one would own some chemical companies whether or not it is Dupont, Allied, etc., who could make TAPES #1458, #1459, #1460 City Council Reg. Mtg. Minutes April 23, 1997 Page 9 of 19 such products. Mr. Winters asked if he represented any clients that purchased such investments? Mr. Crane states yes, as previously explained. If Mr. Winters' interested was what financial interests he had in fluoridation, he felt it was important that he have the right to defend himself, since his reputation was challenged. It concerned him that Mr. Winters was trying to establish some kind of financial interest in what he does and what someone else is doing. Mr. Winters stated there is not that implication because he will ask the opposition if there is any financial interest for them on their stand. He asked that Paul Drnjevic, representing the opposing side, on a point of appearance of fairness be allowed to speak at this time based on the fact he was shorted his time during his opening statement at the April 19 hearing. President Farr stated he believed Council had made every effort to be fair during this hearing and recounted the times Council heard from both sides including a 1-hour video made available to Council members by Mr. Drnjevic, two public hearings, and many other opportunities. He was not willing to bend the rules as established earlier in this meeting, because it would open the door to untold miseries about appearance of fairness. Mr. Winters stated for the record he has asked and been denied. He concluded his remarks by playing a portion of a 6-minute video that opposed fluoridation. Mr. Colvin questioned if the citizens had the right to refer this issue to the vote of the people? Ian Sievers, City Attorney, stated he thought it was part of an initiative ordinance possibly to control the program that is being addressed at this hearing...as an Initiative Petition. Mr. Colvin asked if he heard correctly that the citizens could not change the policy, if Council approved implementation of fluoridation? Mr. Sievers stated if might be possible, if they gathered enough signatures to place an Initiative Ordinance on the ballot. There are some issues that cannot be regulated through a citizen directed initiative; however, he felt this issue was one that could be. Mr. Colvin questioned if Council approved fluoridation and citizens find they actually suffer ill effects, what would be the possibility of recovery in such a suit? Mr. Slavers stated it depends on what evidence they would have to base their suit. He believed Council was well within a realm of reasonable care given the current evidence of the safety of fluoride additive. Under the current state of knowledge presented to Council, he did not believe they would be breaching a reasonable standard of care and would not be liable for a fluoridation program. Mr. Law reported at his March Neighborhood meeting he polled those attending how they felt about fluoridation and whether or not they wanted to vote on such a proposal or if they wanted him, as their elected official, to make the decision. Eighty percent of those TAPES #1458, #1459, #1460 City Council Reg. Mtg. Minutes April 23, 1997 Page 10 of 19 individuals said to place it before the voters. He spent part of April 21 and most of April 22 calling his constituents and asking if they were in favor of a vote being made by the Council or by the people? The vast majority again responded to put it to a vote of the people and the others urged him to vote as their Council representative. The second question he asked was how should he vote if the proposal is not to submit it to the people for a vote? Again, the vast majority responded they would support implementing fluoride. (Note: Mr. Law made an amendment to the motion to send it to the voters; however it died for the lack of a second.) Mr. Neville stated he was raised in this community and he personally experienced a large amount of tooth decay that he attributes to non-fluoridated water and poor dental care. He recalls a few months back a young lady came before the Council pleading for help finding someone to treat her rotting teeth. The Health Officials have determined fluoridation does make a difference and supporting testimony has been given from various individuals throughout the County where fluoridation was implemented without any major signs of poisoning among people. He stressed the need to help one another and as stated in the Reader's Digest article most livable cities to raise children are places where people work together, trust each other and where families can and do shape their own communities. By implementing fluoridation we are helping our community and future community. As a parent, he was fortunate to be in a financial position to make sure his son received proper dental care and fluoride treatment in his early years, which resulted in excellent dental health. He truly believes that fluoridation does work for the dental good of our youth. Many times Council members have to make tough decisions, but they are choices for the good of the all, not just for today, but also into the future. He assured everyone that he gave serious consideration to all the data provided both pro and con. He is also very proud of the city's water system, but acknowledged it was developed by our forefathers and it is because they looked at the future that we do have the water. Now, this Council has to look at the future of the upcoming youth of Bremerton and the surrounding community and he will support implementing fluoridation in Bremerton's water system. Mr. Montgomery stated initially he was totally neutral toward fluoridation, since it would not help or hurt him and he has no financial investments in fluoride or dentistry. He has patiently listened to all the testimony, reviewed the data provided by both the pro and con and held discussions with constituents. It did concern him that some of the opposing data appeared as incomplete references and excerpts, which did not, in his opinion, validate the facts being presented. TAPE #1460 TAPE #1460 City Council Reg. Mtg. Minutes April 23, 1997 Page 11 of 19 Mr. Montgomery also questioned the method used to obtain signatures on the petitions that were circulated by those opposing fluoridation. He was much more impressed with those giving testimony before the council than the 800 signatures on the petitions. When he asked his constituents if he should vote on the issue or put it before the voters, their response was for him to vote on implementation. He chose to trust the medical/dental community's recommendation because they are the experts on this subject and he supported the implementation of fluoridation, regardless of any political implications that may follow. Mr. McConnell stated initially he supported the idea of putting the issue before the public for a vote, but after reviewing an extensive amount of data, watching two videos, listening to the testimony and receiving telephone calls, he concluded that fluoridation would be good for Bremerton. He also concluded that if he voted to place the issue for a vote of the people, he would be shirking his duty as a legislator for the City. Therefore, he will vote to fluoridate the City's water. Mr. Colvin referenced a letter he received from the Mayor of Poulsbo that stated in the 20 years their water has been fluoridated he was aware of only two complaints. President Farr stated he was proud of his ability to vote on this issue and voting was one of the most important duties of a City Council member. He is very guarded in giving away that voting right and during his 3 1/2 years on the Council he only abstained from voting three times. He gave serious consideration to the motives of those in support of fluoridation, particularly members of the Kitsap Cares partnership, who have donated their time, and could find none other than honorable for the work that they do. He will definitely support implementing fluoridation. Vote on Motion: In Favor: Montgomery, Huff-Menees, Neville, Farr, Overson, McConnell, Colvin, Law Opposed: Winters Motion carried. 8A - PUBLIC HEARING ON TCI CABLE RATE INCREASES, #AB97-082 TCI has applied for cable rate increases to go into effect June 1, 1997. City Council action is not required per FCC rules. Staff has reviewed the rate applications for adherence to FCCrules. TCI will make a presentation on why they are increasing cable rates. Paul Johnston, Deputy City Clerk, reminded Council that FCC regulations were amended several years ago to preclude the Council from approving rate increases. TCI is proposing, as of June 1, that the Basic Tier Rate will decrease from $12.28 to $11.83. The TAPE #1460 City Council Reg. Mtg. Minutes April 23, 1997 Page 12 of 19 reduction is due to a correction being made as a result of their 1996 projections for future costs of programming, corporate fees and running cable TV. The Expanded Basic Tier increased from $12.98 to $13.32. The channel line up numbers have remained the same, but there has been a small change in the channel line up. Patrick McDonald, TCI General Manager, will make a presentation to Council to explain what has changed over the past year to create a rate increase in all other categories and a slight decrease in Basic service. Ms. Johnston reviewed the applications from TCI and to the best of her knowledge their methodology and accounting practices were according to FCC rules and guidelines. Patrick McDonald, General Manager, reviewed the Basic Tier and Expanded Tier rate proposals as outlined by Ms. Johnston. The factors involved in a rate adjustment are inflation, adjustments from the projection periods from June 1996 filing, programming costs and interest. He pointed out the proposed rates would include State Excise Tax and Utility Tax. Customers receiving Basic and Expanded service will see an 11 cent decrease in their rates effective June. Rate increases and decreases for Installation and Equipment Rates are proposed, which are one time charges. The driving force behind those changes is time associated with the work that is done at the customer's home or business and the cost associated with the products and devices placed at a residence. Rate changes for the 48 Channel Package, which is limited to 3% of the Bremerton area, show the Basic Tier decreasing by 12 cents ($12.16) and the Expanded Tier increasing from $12.98 to $17.62, which are a result of the additional services provided to those customers. TCI's Community involvement include: TCI Armed Forces Day Queen's Pageant (1997 is 7th year); September Education Campaign (TCI sets aside $5.00 from every new installation to support education services in the communities they serve); TCI Education Campaign (provides free services to schools to assist in the education process. Networks such as Discovery, CNN and A&E provide curriculum ideas and materials free of charge); Sponsorship and Donations (TCI donates services to various organizations in the community in support of schools, local organizations and many business groups); NCTA Seal Of Customer Service Excellence (TCI has been recognized for maintaining high customer service standards). Continued Growth of New Products: The Sega Channel (offers over 70 individual games per month at a low monthly charge $14.95); Sprint Alliance (offers special discounts to subscribers when they switch TAPE #1460 City Council Reg. Mtg. Minutes April 23, 1997 Page 13 of 19 to Sprint Long Distance service - $2.00 credit each month for one year and if additional services are subscribed to that credit goes up to $4.00 per month for one year); Kid Control Remote Controls (offers parents more control over their children's viewing choices). Also provided were: (1) example of TCI's Rate Cards for Bremerton, Poulsbo and Kitsap County; (2) Channel Guide for Bremerton, Poulsbo and Kitsap County; (3) letters of support. James Kelley, Producer with Westsound Cable Television Access and Poulsbo resident, stated the media of the Bremerton area is the reflection of the spirit within the community and everything that Council does with TCI is extremely important in reflecting that spirit. He thanked the City and TCI for their continued support of community access television. Larry Dickerson, Bremerton resident, expressed concern over TCI's pattern of moving programming off of channels that are viewable to unwatchable channels, i.e., CBTU and C-Span. He wanted a reduction in his cable TV costs for the non-viewable channel programming TCI provided. Previously, he had 7 documented orders where TCI came to his residence to analyze the problem; however, nothing changed and Channel 19 is still unwatchable. He felt TCI should be more responsive to such concerns and/or the City Council maximize their powers over the service that is delivered to the consumer. He asked if anyone knew the approximate cost of the voice of democracy (C-Span)? He pointed out it amounts to approximately $250 million that FOX donated to TCI for upgrading their equipment in order that they could carry more channels. Shannon Watson, member of Westsound Community Access Television, asked if WSCAT depends entirely on government relations with TCI and Falcon Cable, why they were not included in these negotiations? John F. McDonald, Bremerton resident, stated his concern over TCI's shuffling of channels. When Sonic games are televised, TCI scrambles the picture on Channel 29, which is a channel he pays for. When he complained to TCI they stated they would reimburse him, which resulted in a 6 cent discount. He did not support TCI getting a rate increase and emphasized what they need is competition. Paula Johnston, Deputy City Clerk, stated in reference to Ms. Watson's question, Westsound Community Access Television is a contractor chosen by the City to provide public access for the community and have no standing in negotiations, which is between TCI and City of Bremerton. TAPE #1460 City Council Reg. Mtg. Minutes April 23, 1997 Page 14 of 19 Mr. McDonald stated the issues behind channel realignment are very difficult. When the Sonics are carried on TNT and also carried on a broadcaster in the Seattle market, TCI is within a 35-mile radius and required to black out that program on the channel it appears. The rights for that program have been purchased by a Broadcast TV affiliate within the Seattle market and TNT cannot compete with the same game on a different channel. Other areas, such as Aberdeen can receive that program over TNT; however Seattle ADI cannot. The scrambling is done from TNT, not TCI. TCI does provide a discount, even though it is small, because they have no control over the issue. The C-Span/CBUT issue was very difficult and the decision to move those programs was made based on their popularity with the viewers. Rather than delete one or the other, they chose to split the viewing time on one channel in half. As TCI works through and continues negotiations with the City, the line up capacity will be increased, which would allow breaking up C-Span and CBUT. As programmers, there are alternative services and TCI competes for viewers. Kathleen McCluskey, Director of Administrative Services, stated like many of the other areas of cable management, the Council has no control over channel line up and is totally within TCI's control. This is another area where the public becomes confused over what the City can and cannot regulate under the franchises. Unfortunately, we can do very little since the Telecommunication's Act controls a great deal of what cable companies can do and their performance. she pointed out the public has more of an impact on the cable companies when they voice their complaints and concerns directly . Mr. Law pointed out some of the decisions being made by TCI are not at Mr. McDonald's level and he was somewhat offended as to what Mr. McDonald is required to say. As an example, the FOX News Channel in order to get on line, paid the corporations, according to the Wall Street Journal, $10.00 per customer. He asked if a reduced rate was given to all customers affected by the scrambled channel or does the subscriber have to call in and request a reduction? Mr. McDonald explained as authorized under the franchise, TCI does not have to offer refunds until a 24-hour outage occurs. They do offer refunds regardless of that clause, if a customer calls up to complain about their service being out, regardless of the duration. Mr. Law suggested during franchise discussions the City pursue with TCI that when a situation arises where every customer is blacked out on TNT for a period of time that a class refund is effected for everyone. If that happened, maybe TCI would be more interested in responding to the public's concerns. In his opinion , the customers are getting "short changed". Mr. McDonald noted that was an area where TCI has tried to respond in a situation that they have no control. Mr. Law asked if TCI customers were paying to TAPE #1460 City Council Reg. Mtg. Minutes April 23, 1997 Page 15 of 19 have access to the blacked out channel? Mr. McDonald stated they were paying for TNT, which is part of the package. Mr. Law noted he may have misunderstood the point and thought some TCI customers had access to the blacked out channel through the use of a de- scrambler. Mr. McDonald explained when TCI turns off the TNT channel no one can view it. Mr. McConnell stated a year ago when Mr. McDonald was before Council he brought up his concerns about Channel 19. Since the shift of C-Span and CBUT, that channel is hardly viewable; however, now he is getting radio communications interfering with his audio on his TV between 5:00 AM - 6:00 AM. Mr. McDonald stated TCI has received a number of complaints related to that issue. He offered to do an equipment check at Mr. McConnell's home to determine if he had a cable connection problem. He explained a signal, as described by Mr. McConnell, ingresses onto a location within a home and jumps in a voice communication and is delivered on Channel 19. He felt confident that the majority of the problem could be handled through adjustment to in-home wiring. Mr. McConnell questioned if FCC rules were being violated either by the paging company or by TCI if both are using the same frequency? Mr. McDonald stated no, the cable television service uses a sealed cable to delivery frequencies inside the cable system. Channel 13 is the most difficult to work around because their transmitter is located in Bremerton on Gold Mountain. Mr. Winters noted the City's Citizen Cable Advisory Committee no longer exists; however during their last meeting the same issues were discussed... rates, service, problems, signals. In the last two weeks he learned that TCI is very much aware of the world's fiber optics direction, digital compression, and new markets of competition. He believes good things will happen to better the service and it has brought TCI to the negotiating table to change dollar figures and motivation. He complimented Mr. McDonald on the manner in which he represents TCI, but acknowledged that what is being offered to Bremerton customers could be better. Mr. McDonald stated he was proud of the quality product offered by TCI, which he believes is one of the best. Mr. Winters noted service always has room for improvement, even government. He urged Mr. McDonald to forward on Council's concerns to TCI's upper management so they can be taken into consideration when future decisions are made. Mr. Colvin expressed his appreciation of Mr. McDonald always providing responses to questions; however, he suggested a little better public relations could be put forth by TCI when certain conditions arise that affect all of the subscribers. Mr. Neville asked how long TCI had provided cable TV service in Bremerton? Mr. McDonald stated TCI took over management in TAPE #1460 City Council Reg. Mtg. Minutes April 23, 1997 Page 16 of 19 Bremerton in approximately 1974-1976; however, the cable system has been in place since 1965. Mr. Neville noted in 1994 the FCC adopted regulations to control what cable companies can do and the rates that can be charged. Mr. McDonald explained the FCC derived a formula that they believed would develop fair cable pricing throughout the nation. Mr. Neville observed that possibly TCI overcharged on all of their services about $43.44 since 1976 to 1994. And, since the regulation rates of July 1994 to June 1997 costs have increased by $83.00, which he found to be a healthy increase. He asked what has TCI done, over the past three years, to upgrade the quality of channels received by Bremerton customers? Mr. McDonald stated the numbers identified include a number of one time charges related to installation. The kind of work performed at customers homes are much different and the quality of the cable continues to increase. They are always improving the installation work that is required and now must be able to handle the new services of the future. Over time, the Basic and Expanded rates will show a little different move as they work under FCC Rule 1240 rate regulations. Mr. Neville referenced the letters of support provided by TCI, particularly those involving providing community service. He questioned the percentage of TCI customers residing in Bremerton? Mr. McDonald estimated 45%. Mr. Neville questioned if he understood correctly that of that 45% only 3% of those are getting the 48-channel package like that provided to County customers? Mr. McDonald stated yes. Mr. Neville questioned if Mr. McDonald saw that changing in the foreseeable future? Mr. McDonald stated yes, in the near future. Mr. Neville noted he read a letter that Mr. McDonald had written to Westsound Community Access Television indicating that he did not believe Bremerton supports Westsound Community Access Television. Mr. McDonald stated that letter was responding to an individual that had questioned TCI's support of the program. Mr. Neville stated he recalled the letter was addressed to the whole Board, not an individual. Mr. McDonald stated it was addressed to an individual on that Board of Directors. Mr. Neville asked Mr. McDonald if he still held that same opinion about Bremerton? Mr. McDonald stated he believes there is a good working relationship between TCI and Bremerton. In his letter he was only addressing some specific points brought up by an individual, he had nothing negative to say about the City of Bremerton. Mr. Neville asked if Mr. McDonald believes the City supports Westsound Cable Access Television. Mr. McDonald stated he thinks the City supports them as well as TCI, since they were the ones that started the Bremerton Cable Access program, and is still supported by both entities. Mr. Neville stated he strongly supports Westsound Community Cable Access Television and that it is the right move now and into the future. 8B - PUBLIC HEARING ON TCI CABLEVISION AND FALCON FRANCHISE EXTENSIONS, #AB97-083 TAPE #1460 City Council Reg. Mtg. Minutes April 23, 1997 Page 17 of 19 The TCI and Falcon franchises expired on April 1, 1995. We have had two prior one-year extensions while negotiations were taking place. The attached extensions are for the periodApril 2, 1997 to April l, 1998, or completion of franchise negotiations, whichever occurs first. Kathleen McCluskey, Director of Administrative Services, stated like many other things under the Telecommunications Act, the City is not able to not renew or extend a franchise except in some very specific situations. In this case, if the City had initiated a revocation, there would be no request for an extension; however the cable companies are notin violation of the current franchise. Also, meaningful negotiations are underway, but if negotiations had broken down, then the City could look at a revocation or non- extension. Both of those items are in order and negotiations are very close to conclusion. Under those terms, it is recommended that both franchises be extended for one year or until completion of negotiations. Negotiations with Falcon Cable TV will start once the City has completed negotiations with TCI. Public comment - none. Mr. Montgomery stated he has never voted to approve a franchise and felt the people of the United States should write their Congressmen and tell them to quit giving monopolies to certain people, i.e. cable television. #1738 M/S/C(Huff-Menees/Colvin) to approve extension of franchise agreement with TCI Cablevision of Washington, Inc. for the period April 2, 1997 to April 1, 1998, or completion of franchise negotiations, whichever occurs first. Vote on motion: In Favor: Winters, Huff-Menees, Neville, Farr, Overson, Law, McConnell, Colvin Opposed: Montgomery Motion carried. #1760 M/S/C(Colvin/McConnell) to approve extension of franchise agreement with Falcon Video Communications, L.P. for the period April 2, 1997 to April 1, 1998, or completion of franchise negotiations, whichever occurs first. Vote on motion: In Favor: Winters, Huff-Menees, Neville, Farr, Overson, Law, McConnell, Colvin Opposed: Montgomery Motion carried 8C - PUBLIC HEARING ON TCI RATIFICATION OF UPGRADE REOUEST, #AB97- 084 TAPE #1460 City Council Reg. Mtg. Minutes April 23, 1997 Page 18 of 19 The City Council at an October 10, 1996 Study Session directed Mayor Horton to send a letter to TCI Cablevision requesting upgrade of their system pursuant to Section 9 of the existing franchise Ordinance No. 3975. This letter was sent on October 14, 1996. Council is requested to pass a motion ratifying that action. Kathleen McCluskey, Director of Administrative Services, stated the City's current franchise allows the City to direct TCI to upgrade the Bremerton system to 400 MHZ at such time that 30% of TCI systems with similar demographics are upgraded to that level. The Mayor's October letter requested that action. On the advice of the City Attorney, the administration was requested to approve such action in an open public meeting. While negotiations are moving along, the City also wants to run a parallel track under the current franchise and make sure the clock is still ticking on the upgrade. Therefore, Council is being asked to ratify the letter and reconfirm Council's motion. Public comment - none. Mr. Neville asked that the October 14, 1997, letter be read into the record: Paula Johnston, Deputy City Clerk, read as follows: To - Patrick McDonald, General Manager, TCI Cablevision Of Washington - "Pursuant to the current franchise that TCI has with the City of Bremerton contained in Ordinance #3975, the City is directing TCI to upgrade the Bremerton system. Section 9 of the franchise stipulates that TCI will provide expanded system capability upon request when 30% of other TCI systems with similar demographics have been upgraded to at least 400 MHZ operational capacity. The City has researched TCI systems of similar subscriber base on a national, regional or state level using several data gathering techniques including phone surveys and a national trade reference book, BROADCASTING & CABLE YEARBOOK 1996. Our results have shown that, using any size of geographic configuration, well over 30# of TCI systems of Bremerton's relative size enjoy cable capacities that are at or above 400 MHZ. Also, Section 11 of the current franchise stipulates that TCI will provide one forward channel for institutional use upon request from the City. The City is hereby directing TCI to provide this channel pursuant to the franchise between City buildings. Sincerely, Lynn S. Horton, Mayor." Mr. Overson expressed his appreciation of staff's putting this proposal together and the cable company's willingness to work with the City. He was sure Mr. Montgomery realizes that even though he calls this a monopoly, it is not; and that there are plenty of TAPE #1460 City Council Reg. Mtg. Minutes April 23, 1997 Page 19 of 19 other sources to provide cable services. Mr. Winters asked if this will be some of the tone into the new contract negotiations? Ms. McCluskey stated yes, they are discussing upgrade, when it will happen and how it will happen. #1940 M/S/C/U(Neville/Montgomery) to ratify Council direction of October 10, 1996 to Mayor Horton to send a letter to TCI Cablevision of Washington, Inc. requesting upgrade pursuant to Section 9 of the existing franchise Ordinance No. 3975, and further reaffirm the upgrade request as of this date. President Farr thanked the TV camera crew for their services: Rob Rupe, Jamie Campbell and James Noble Jr. With no further business meeting adjourned at 9:45 P.M. KATHLEEN L. McCLUSKEY, City Clerk DAVID D.F~ARRQ'~ City of Bremerton KLM/DDF/me cc: Normal Distribution File/Vault